Vulcan to supply lithium carbon free batteries to Stellantis

Lithium battery maker, Vulcan Energy Resources said on Monday it signed an agreement with automotive maker Stellantis to supply a minimum of 81,000 tonnes and a maximum of 99,000 tonnes of battery grade lithium hydroxide starting 2026 for an initial period of five years. 

The companies said in a statement that by 2030, more than 70 percent of Stellantis’ European sales and more than 40 percent of its U.S. sales will be low emission vehicles (LEVs). 

The companies said that the battery grade lithium hydroxide will be used by the three Stellantis battery production facilities in Europe – in Termoli, Italy, and the Automotive Cells Company (ACC) joint venture plants in Kaiserslautern, Germany, and Douvrin, France. 

Lithium is an important component in making batteries for electric cars. Electric vehicles are becoming increasingly significant as countries are seeking to reach their commitment to a cleaner environment.

Vulcan said it is aiming to become the world’s first lithium producer with net zero greenhouse gas emissions. 

“The definitive off take agreement with Stellantis aligns with our mission to decarbonise the lithium ion battery and electric vehicle supply chain,” said Managing Director Dr Francis Wedin in a statement.

 “The Vulcan Zero Carbon Lithium™ Project also intends to reduce the transport distance of lithium chemicals into Europe, and our location in Germany, proximal to Stellantis’ European gigafactories, is consistent with this strategy.”